CNX--BANK NIFTY- A TECHNICAL VIEW FOR – 12-4-2016

CNX--BANK NIFTY

Closed at 15818.50 on 11-4-2016(Open-15623.35/High-15853.85/Low-15440.25)

Support:15762.20/15704.75/15682.65/ - 15522/15451.75/15440.25/15178.30/14989.40/14761/14754/14445/13810.6013407.25.

Resistance:- 15967.85/16188.05/16282.75/16587.25/16648.30/16670.55/16727/16741/16824.05/16922.05/16932.50/17067.45.

After giving four days close below its most critical point of 15762.20 for the year 2016 it bounced back today and closed above it and near the high of the day, whereas the overall technical setup was pointing towards continuation of the down move. The kind of volatility it exhibited today is not good for a steady market, so be watchful because it may reverse it also. Although it closed above its critical point of 15762.20 but it has to be seen that whether it will sustain above it or not on the closing basis for next 3-4 days. Since it closed above 15762.20 mark therefore short call should be avoided till it moves and close below it again. For safe long trader it is suggested to wait and watch tomorrow but aggressive day trader can try long call above 15855.   

For 12-4-2016 in view of today's up move long call can be tried above 15855 with a stop loss of below 15760, similarly short call can also be tried if it moves and sustain below 15760 with a stop loss of above 15810. Watch the market for sometime before initiating trade.  

Remark: - It is already in the long term bear trend since 4-1-2016. In view of today’s volatility take your trading calls as suggested above but with extreme caution and care.

  

Kindly note that make your cost your stop loss in favorable  trade and then trail it as the price move up/down to gain maximum profit and avoid losses. Use support and resistance levels as entry, exit, target and trailing stop loss points. DO NOT TRADE WITHOUT STOP LOSS.

                                                                                     

Disclaimer:-The view expressed here are solely of the author and he is not at all responsible in any way for the outcome of the trade you enter based on the above view.

Note: Price stated here is of spot market.

Contact me for strategic guidance to enter and exit the trade.